BREEZY POINT, N.Y.–Prosecutors are attempting to seize a $600,000 co-op in a beachfront neighborhood here as part of a fraud case against Sean Jelen, the former CEO of Valor Credit Union who has been charged with fraud.
According to prosecutors, Jelen purchased a $610,000 stake in the property in April 2015 using funds that had been stolen from the credit union.
Jelen has been charged with stealing $718,000 from Valor and attempting to steal another $1.1 million through a forged severance contract with the credit union in crimes alleged to have taken place between July 2015 and August of 2015. Prosecutors allege Jelen used stolen funds to pay credit card bills, college tuition, pay for home décor and for a birthday party, as well as the mortgage on his own home.
Prosecutors earlier said Jelen has agreed to plead guilty to one count each of bank fraud and attempted bank fraud. Under the plea agreement, filed in the U.S. District Court in Scranton, Jelen faces up to 30 years in prison and a $1-million fine on each count.
The CEO had been fired following a drunk driving incident that involved a $100,000 Mercedes that was owned by the credit union. He allegedly also created fictitious members of the credit union’s board as part of the fraud scheme, as CUToday.info reported here http://cutoday.ssd.thinkcreativeinternal.net/Fresh-Today/CEO-Charged-With-Fraud-Including-Creating-Fictitious-Board-Members